Mon, Sept 28 – Austin Metro Area Real Estate Update
393 new homes emerged on the market in the past 7 days. 83.75% increase from last week.
545 homes went under contract in the past 7 days. 5% decrease from last week.
387 homes sold and closed in the past 7 days. 15% decrease from last week.
92 homes withdrawn or temporarily taken off the market. 12.7% increase from last week.
Austin Metro Area Market Overview from Agent Jill
Well, look at that! The metro area more than doubled its inventory of active homes in one week. I was curious to see if last week’s 2020 low of new active homes was a sign of a Fall slow down but the data shows otherwise. We are still seeing pending homes outpace our active inventory highlighting that buyer traffic has remained strong all year and heading into Fall. This matches the scene I see out in the field with higher than normal multiple offers. I even received news this week that some builders and new communities have moved to auction style procedures with inventory. The demand for new construction has been so high that we are seeing all sorts of new programs for purchasing. The Bluffview community by Taylor Morrison is only releasing 3 lots per month and buyers must sign up for a waiting list to have the opportunity to participate in a multiple offer bid. Some builders are limiting or removing design options and only releasing set plans or design features to keep on top of the demand. I have never seen this level of competition for new construction in my nearly 16 years in the business.
I know consumers have heard the phrase “you don’t want to wait to buy” from Realtors before but we are truly seeing the effects of buyers having waited too long to purchase and being priced out of a market or community. My hope is that these weekly reports will help keep you informed and educated on the changing landscape so that you can properly plan if you must face a sale or purchase in the coming year. I am working with clients 6-12 months out to get plans and systems in place so we can be successful. You know teacher Jill likes proper planning!
Weekly Snapshot on Interest Rates, Loan Refinancing & Loan Qualification
September 28th Update – RATES ARE STILL LOW!
Right now you can get 2.5% for a conventional loan. These are historically low rates. Now I want to reiterate that consumers are not quite seeing these kinds of rates for home mortgage refinances. The reality is that demand is so high for refinances right now the only way to lessen the demand and help unclog the system is to discourage through higher rates. So, Please shop around and be patient if you are looking to refinance.
Remember that mortgage qualification rules have changed during covid so if you know you are needing to shop for a home mortgage provider in the next 6-12 months set aside time to let our lenders educate you on the scene. A consultation with one of our local lenders can help you identify how to navigate the new financial options for a home purchase so you can plan accordingly.
As always our preferred lenders are available to discuss changes in the mortgage scene and answer your questions.
Take a look at the news about the Fed’s new approach to inflation and thoughts on how that might affect mortgage loans.